UK cost-of-living crisis grows as dearer imports push inflation to 2.9%

More expensive petrol, clothing and food fuel rise in CPI as unions call for pay rises and end to public sector pay cap

The squeeze on Britain's living standards worsened last month after the increased cost of importing fuel, clothes and food pushed inflation back up to 2.9%, from 2.6% in July.

Women's clothes were among the items to jump in price in August as the low value of the pound earlier this year pushed up the prices in sectors heavily dependent on imported goods.

Related: Public sector pay cap to be lifted next year, No 10 says

Inflation is when prices rise. Deflation is the opposite - price decreases over time - but inflation is far more common.